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Capitol Hill is abuzz as Comcast and NBC Universal defend their merger in an antitrust investigation before the Senate Judiciary Committee. While a number of interest groups are commenting on the potential acquisition, Boxee CEO Avner Ronen's blog post offers some hints at how the merger could affect the environment for web TV startups.
Comcast sees the writing on the wall: cable-based TV will not survive the next decade. Its value is fast eroding because it can't compete with on-demand, Internet-delivered TV across all screens. Unlike their music counterparts, TV executives have pulled their heads out of the sand in time and are working hard to survive this monumental shift. To do so, however, they need to choose the right battles to fight.
Enjoy the online TV party while it lasts, because if it is up to your favorite cable companies like Comcast and Time Warner, access to TV shows might soon go behind a paywall that will be controlled by cable or satellite TV providers. Just as the newspaper industry doesn't know how to react to the new challenges posed by the Internet, the cable industry, too, is trying to remain relevant in a world where appointment TV is a thing of the past. This is due to the proliferation of DVRs where TV networks and producers can just put their content on the web and users can watch these shows on their TVs and in their living rooms thanks to cheap hardware devices from Apple and Roku, and software like Boxee.
Today, Comcast announced that it will amend its Acceptable Use Policy and add a clause to it that will establish a "monthly data use threshold" of 250 GB per month. This effectively puts a cap on the amount a Comcast user can download per month and codifies an informal policy Comcast was already enforcing. While 250GB is a large amount of data right now, it won't be once a large number users start watching HD streams which can easily take up numerous GB per hours.
The Federal Communications Commission ruled this morning by a 3 to 2 vote that Comcast's arbitrary throttling of customers' use of BitTorrent was illegal. Hours before the ruling, the Electronic Frontier Foundation released software that anyone can use to see if their Internet Service Provider (ISP) is engaging in the same or similar behavior.
BitTorrent accounts for a substantial percentage of traffic on the internet and some people believe it causes unfair slowdowns for web users doing anything else online. Many other people argue that ISPs have an obligation to treat all internet traffic equally regardless of content. This is a key battle in the Network Neutrality debate.
Since we reported yesterday that cable and Internet provider Comcast had acquired social address book Plaxo for an estimated $150 million, we've been fielding a lot of comments and emails -- most of them not very supportive of the acquisition. Most people seem wary of Comcast -- which has a poor reputation on the web due to "bandwidth throttling" practices -- and some have told us that they'll be deleting their Plaxo accounts. How about you?
Communications giant Comcast has acquired social web application Plaxo for an estimated $150m or more. Techcrunch confirmed the deal first but offers an understated critique of the alliance. Many web users familiar with the operations of both companies are much more upset about the deal.
Part of Hulu's strategy is to not only be a destination, but also a hub for the distribution of content from NBC Universal and News Corp. They do this in two ways: 1. by letting ordinary users embed clips elsewhere on the web, and 2. by partnering with major media sites to deliver commercial content. The result is that consumers have a number of choices for where they can view the content on Hulu.com. We'll take a look at a handful of Hulu-powered sites below, including Hulu itself.
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